Loading...

Industrial Operations

Industrial Operations in Tanzania

TO OPERATE

An industrial project in Tanzania, a business must obtain either a certificate of registration or an industrial license. The type of authorization required depends on the size of the fixed investment. Projects with a fixed investment not exceeding one hundred million shillings will be issued a certificate of registration, while those with a fixed investment exceeding one hundred million shillings will receive an industrial license.


APPLICATIONS

For an industrial license are submitted through the Board, while applications for a certificate of registration are submitted to the Registrar or Assistant Registrar. Both initial applications and renewals for these authorizations must be in a specific, officially provided format. Once issued, industrial licenses must also be in a prescribed form, and registration certificates are required to be in a prescribed form. All licenses must be authenticated with an official seal.


THERE ARE ASSOCIATED FEES

For these authorizations. A certificate of registration costs US$ four hundred or the equivalent in Tanzania shillings, and an industrial license costs US$ five hundred or the equivalent in Tanzania shillings.


SUBMISSION OF AN ANNUAL PROGRESS REPORT

is required by Holders of a temporary industrial license or certificate of registration. For temporary industrial licenses, this report is submitted to the Board, and for registration certificates, it is submitted to the Registrar. Failure to submit this annual report is an offense punishable by a fine payable to the Registrar of Companies.


AN INDUSTRIAL LICENSE CAN BE CANCELED BY THE REGISTRAR

if the project for which it was issued has not been implemented within three years from the date of issue. This cancellation occurs after the license holder has been given an opportunity to explain why the license should not be canceled and the Registrar is not satisfied with the reasons provided. The Registrar is required to report such cancellations to the Board, the transfer of industrial licenses, states that any application for transfer must be in a prescribed form.


REGARDING LABOR RELATIONS AND DISPUTES

a specialized Industrial Court of Tanzania is established to handle trade disputes and related matters. This court has the authority to hear and determine trade disputes, register agreements between employers and trade unions, and advise the Labour Commissioner on relevant issues.


Trade disputes can be reported by or on behalf of employers or employees

A structured process is outlined for reporting and attempting to settle disputes, involving union branches, Labour Officers, and the Labour Commissioner. If a settlement is reached, it is recorded as a negotiated agreement. These negotiated agreements, as well as voluntary agreements between trade unions and employers, must be submitted to the Industrial Court for registration before they become operative and binding on the parties. The court may register, modify and register (with consent), or refuse to register such agreements.


THE INDUSTRIAL COURT'S AWARDS ARE FINAL

With limited grounds for challenge. Awards are binding on the relevant employers and employees and can be enforced in civil courts. Awards can also be made to have retrospective effect under certain conditions.


The Minister responsible for labor matters has the authority to establish negotiating councils in specific production sectors to discuss labor matters, advise on efficiency and productivity, and assist in preparing agreements and setting production targets.


EMPLOYERS ARE EXPECTED TO SET PRODUCTION TARGETS AND ESTABLISH INCENTIVE SCHEMES IN CONSULTATION WITH UNION BRANCHES, and these schemes should be registered by the Industrial Court. The Minister can also propose extending existing awards to other undertakings within the same trade or industry, subject to the Court's decision.


OFFENSES AND PENALTIES

Related to labor practices, such as failing to provide information necessary for negotiations or actions intended to provoke strikes. Proceedings for certain offenses require the consent of the Director of Public Prosecutions.